KB and EIB support young people’s employment in the Czech Republic

Press release

Prague, 1 March 2016 – Cooperating with the European Investment Bank (EIB), Komerční banka will again support the firms in the Czech Republic, which employ young people aged up to 30. Together with the EIB it offers more advantageous financing totalling EUR 95 million (more than CZK 2.5 billion) to these companies. Subject to meeting simple criteria, the firms will receive a more favourable interest rate, which is 0.3% p.a. lower than standard rates. This more advantageous financing can be combined with EU subsidies.

“The programme that supported young people’s employment met with extreme interest last year. Last year’s EUR 70 million was allocated to firms in the Czech Republic in a few months and the financed firms have created or will create more than 300 new jobs for young people. Every activity resulting in a higher employment rate amongst the young generations is invaluable, and not only from the economic perspective, and I therefore expect exceptional demand for this programme this year again,” said Iveta Ocásková, Executive Director for Corporate Banking at KB.

The programme is intended for small and medium-sized enterprises and mid-cap companies (up to 3,000 employees) that have employed in the past six months or will employ in the following six months at least one young person. Enterprises offering specialist education, practical experience and internships for young people, and also those that actively cooperate with a technical college or university with a view to employing young people aged 15 to 30, can also gain the advantages of EuroPremium Young.

These more advantageous loans can be used for investment in tangible and intangible assets and also for financing operating requirements. The minimum maturity of the loans is two years. The EIB’s funds can also be used as complement to subsidies from other EU sources. In addition to relationship managers, KB EU POINT specialists in all Czech regions also provide technical assistance in loan structuring.